Thursday, 28 March 2024

Announcement

GENERAL: PPL: Pumpkin Patch Limited (PPL) - Material company update

21 Oct 2016 10:10NZX
Pumpkin Patch Limited (PPL) - Material company update

As detailed in PPL''s Full Year Result Announcement 2016 (released to the
market on 29 September 2016): "The business remains significantly
over-leveraged and capital constrained.  Banking facilities are in place that
provide the working capital necessary to enable the company to trade and to
fund a limited level of essential capital expenditure. Our ability to move
forward from here is impacted by the lack of available capital for debt
reduction and reinvestment. This represents a material risk to the ongoing
viability of the business."

As highlighted in the financial results of PPL released with its Full Year
Results Announcement, PPL had undertaken to its bank that options would be
tabled and considered by 20 October 2016 to address and consider the
company''s capital constraints. (Agreement was subsequently reached with the
bank that this date would change to 31 October 2016.)

Since 29 September 2016, PPL has undertaken further work on these options.
This further work coupled with discussions with the bank and certain key
stakeholders has generated substantial uncertainty, which remains ongoing,
regarding the company''s future in the context of its current financing
arrangements. Shareholders should note that it is highly unlikely that there
is any residual value in the company''s equity.

PPL expects that further work and discussions with relevant stakeholders will
be completed in the next few days and that, when an outcome is clear, that
will be announced to the market.

ENDS

Peter Schuyt
Chairman

Luke Bunt
Managing Director

21 October 2016
End CA:00291271 For:PPL    Type:GENERAL    Time:2016-10-21 10:10:57
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Pumpkin Patch Limited Ordinary Shares
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